Who is a Class Member

There are two Classes included in the Palmco Power Restitution Fund B Settlement.

Non-Polar Vortex Customers: Persons who were Palmco customers at any time up to and including the Settlement Effective Date, other than during January, February and/or March 2014.

Polar Vortex Customers: Persons who were customers of Palmco during January, February and/or March 2014 and who experienced alleged overcharges by Palmco on their gas and/or electric bills.

If you don’t qualify for this settlement, check out our database of other class action settlements you may be eligible for.

Settlement Amount

  • $1,000,000.00 (Restitution Fund B)

Estimated Award

  • TBD

“Restitution Fund A was $3,502,791.66. After the distribution of Restitution Fund A, Palmco will make available to the State of New Jersey a separate Restitution Fund B, in an amount of up to $1,000,000.00, which will be distributed to all Palmco customers, including Polar Vortex Customers, who submit valid claim forms and supporting documentation.”

Proof of Purchase

  • You will need your unique Claimant Code (printed on the postcard notice you received). Also, claimants will need to submit supporting documentation in order to obtain restitution from Restitution Fund B. Examples of supporting documentation include:
    • Advertising and Marketing materials (e.g. Palmco Website, Palmco Brochure, Palmco Marketing Brochure, Palmco Retention Brochure, Palmco Welcome Letter);
    • Palmco Contract
    • Correspondence with Palmco; and/or
    • Bills

Claim Form

  • class action lawsuits

New Jersey Palmco Power Settlement Notes

  • Robert Lougy v. Palmco Power NJ LLC
  • Case No. MER-C-33-14
  • Pending in the Superior Court of New Jersey Chancery Division, Mercer County

In May 2014, the New Jersey Attorney General’s Office, along with the New Jersey Board of Public Utlities, and New Jersey Division of Consumer Affairs filed this class action lawsuit against Palmco Power NJ, alleging the energy supplier violated several consumer protection laws.

Specifically, the complaint claims that Palmco engaged in deceptive marketing practices which included leading consumers to believe they were affiliated with an local distribution company (LDC) and charged exorbitant rates for gas supply and electric generation services. Additionally, the class action lawsuit alleges that Palmco switched consumers’ energy suppliers without their authorization.

Palmco denies these allegations but agreed to settle the case for $4.5 million in two stages: Restitution Fund A ($3.5 million) and Restitution Fund B ($1 million). Additionally, under the terms of the settlement, Palmco has agreed to refrain from any unfair or deceptive advertising and sales relating to natural gas and/or electricity supply services in New Jersey.

Complete details about the case and settlement are provided on the New Jersey Palmco Power Settlement website.

In August 2017, Palmco sent payouts to Class members in Restitution Fund A. Class members who wish submit a claim form to receive part of the $1 million Restitution Fund B, must do so on or before May 15, 2018.

Important Dates

  • 5/18/18: Claim Form Deadline (Restitution Fund B)

Contact Information

  • Settlement Administrator: Rust Consulting
  • For additional information on the New Jersey Palmco Power Settlement, you can go to the New Jersey Division of Consumer Affairs website at www.njconsumeraffairs.gov or call 973-504-6200.

Class Counsel

  • Robert Lougy, Acting Attorney General of New Jersey

Settlement Website


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